Baolai Precision Machinery has been operating since January out of a building on Commerce Drive it shares with Yinlun Machinery.

Morton Economic Development Council CEO Jennifer Daly said Baolai (pronounced Bow-lee) plans to purchase or build its own facility in Morton within two years.

Yinlun was the first Chinese business to come to Morton. It opened its North American headquarters in the 50,000-square-foot building on Commerce in 2011.

“Baolai and Yinlun are separate but complementary businesses,” Daly said.

“Yunlin recruited Baolai to come here. When Yunlin moved into their building, they wanted it to become an incubator for other Chinese companies to begin operations in the area.”

Baolai, based in Tianjin, manufactures and assembles parts for industrial and agricultural equipment. Its largest U.S. clients are Caterpillar Inc. and John Deere.

Yinlun is based in Tiantai, Morton’s sister city. It’s China’s largest manufacturer of heat-exchanger products.

Morton delegations have gone to China twice in recent years to pursue business relationships.

Yinlun has aided that effort, Daly said, by becoming an “ambassador” for the Morton area to Chinese businesses with which it has a relationship.

“They’ve jumped through all the hoops of locating here, so they can answer questions,” she said.

Daly said getting Yinlun situated in Morton also shortened the lengthy learning curve she and EDC Business Development Director Kim Uhlig faced when it came to attracting Chinese businesses, explaining U.S. business practices to them and dealing with other issues.

“We now have a wealth of information and resources,” she said.

Doing business in the two counties is quite different, Daly said.

In China, for example, the government owns all the land and must approve business expansions.

There’s also a mandatory retirement age so jobs will be available for younger workers.